Updated Tokenomics (Proposed)
Last updated
Last updated
The token allocation is strategically designed to ensure robust ecosystem growth and stability. It carefully balances incentives across various pools, including team allocations, advisor rewards, and developer support, while prioritizing growth and stability. This balanced approach underpins the platform's commitment to sustainable development and community engagement in the blockchain space.
Vesting of the L1X Coins is used to maintain the project's overall integrity while managing the technology's adoption phase. The vesting schedule is designed to ensure a balanced distribution of tokens, aligning the interests of various stakeholders and securing long-term project sustainability. Below is a breakdown of each pool, its allocation, cliff period, and vesting period.
Team Pool
The Team Pool, which accounts for 22.5% of the total supply, is allocated 225,000,000 tokens. These tokens are designated for the core members and contributors driving the project’s development. A 12-month cliff period ensures that main members remain committed to the project's long-term success before receiving any tokens. Following the cliff, tokens are released gradually over a 36-month period, preventing sudden market dilution and aligning the team's incentives with the project's growth.
Growth Pool
The Growth Pool is allocated 400,000,000 tokens, representing 40% of the total supply. This pool is reserved for initiatives that drive ecosystem expansion, such as X Perk Bonus, Rewards and various Projects. With no cliff period, resources can be deployed immediately to capitalize on growth opportunities. The vesting period for this pool extends over 120 months (10 years), reflecting the long-term nature of these investments and ensuring consistent support for growth activities over time.
Validator Pool
The Validator Pool receives 50,000,000 tokens, accounting for 5% of the total supply. These tokens are allocated to Full Validator Nodes FVNs who maintain the network's security and integrity. The absence of a cliff allows validators to be compensated from the start. To promote long-term participation and network stability, tokens are vested over a 60-month period, ensuring that validators remain engaged and committed over time.
Developer Pool
The Developer Pool, like the Validator Pool, is allocated 50,000,000 tokens, which also represents 5% of the total supply. This pool supports ongoing development and innovation within the ecosystem. With no cliff period, developers can access funding immediately, allowing for the continuous advancement of the project. The vesting period spans 60 months, ensuring that development resources are deployed in a sustainable and strategic manner.
Advisor Pool
The Advisor Pool is allocated 50,000,000 tokens, making up 5% of the total supply. These tokens are reserved for external experts and advisors who provide strategic guidance to the project. A 12-month cliff period is in place to ensure that advisors contribute meaningful value before receiving any tokens. After the cliff, the tokens vest over a 36-month period, aligning the advisors' incentives with the project's long-term goals and promoting sustained collaboration.
Marketing Pool
The Marketing Pool is allocated 50,000,000 tokens, which represents 5% of the total supply. It consists of allocations for Single Staking and Balancer Rewards, aimed at incentivizing participation and promoting network growth. With no cliff, the pool is available for immediate marketing efforts. The vesting period extends over 120 months, ensuring that marketing resources are utilized effectively over the long term, supporting ongoing promotional activities that sustain the project's growth.
Certificate Stabilization Pool
The Certificate Stabilization Pool is allocated 50,000,000 tokens, accounting for 5% of the total supply. This pool is dedicated to stabilizing the value of certificates or other instruments tied to the token, ensuring they maintain a consistent value over time. A 24-month cliff period is implemented to protect against premature distribution, followed by a 60-month vesting period that ensures a gradual and controlled release of tokens, thereby promoting stability in the market.
X Perks (Investment)
The X Perks Pool is allocated 125,000,000 tokens, representing 12.5% of the total supply. These tokens are designated to reward investors based on predefined tiers within the X Perks system. The cliff and vesting periods for this pool vary according to the specific tier, allowing for a flexible approach that aligns rewards with the investor's level of commitment and contribution to the ecosystem.
The L1X coin release schedule is designed to strategically manage the token supply over a long-term horizon, ensuring sustainable growth, market stability, and investor confidence as we approach the hard cap of 1 billion tokens.
Key Highlights
Token Generation Event (TGE) - May 2024
The TGE marks the initiation of our carefully planned coin release schedule, with a gradual increase in circulating supply designed to align with project milestones and market demand.
Gradual Increase in Supply
Initial Phases (May 2024 - Apr 2025): The first year sees a conservative release of tokens, ramping up from 5.4 million to 88 million by Apr 2025. This phased approach minimizes market saturation and allows time to build utility and demand across our ecosystem.
Mid-Term Growth (May 2025 - Apr 2028): Over the next year, the release schedule accelerates as ecosystem adoption grows, reaching 617 million by Apr 2028. This period coincides with key platform launches and strategic partnerships, ensuring sufficient liquidity to fuel network expansion.
Post-Adoption Period (May 2028 - May 2034)
Stabilization & Ecosystem Maturity: From May 2028 onward, the token release continues to scale, supporting ongoing development, rewards, and staking incentives, culminating in a total supply of 942.5 million tokens by May 2034. This ensures long-term liquidity and continued utility across the L1X ecosystem, while leaving a reserve buffer towards the hard cap.
Strategic Measures
Controlled Distribution: The release schedule is deliberately staggered to coincide with user adoption rates, ensuring that the circulating supply grows in tandem with the demand generated by new use cases, DeFi integration, and platform expansion.
Liquidity Management: We will implement mechanisms like staking, buy-back programs, and utility-based incentives to soak up excess liquidity, particularly in the initial phases to protect token value and prevent market dilution.
Investor Confidence
The planned schedule showcases our commitment to a balanced and thoughtful approach, prioritizing both early adopters and long-term investors. By aligning token releases with project milestones, we aim to foster a healthy market environment conducive to steady price appreciation and ecosystem growth.
